Mass Rollout in Finland A Service Provider Perspective

Mass Rollout in Finland A Service Provider Perspective May 2013

Finnish Regulation Framework Hourly values and smart metering ● Hourly measurements daily delivered for > 80% of max 3 x 63 A by 1 st of January 2014 Balance settlement more exact and efficient ● Balance settlement based on hourly measurements Introducing demand response to the electricity market ● Technical platform for new electricity products and services More efficient change of supplier process ● Fully automated process initiated from the web Regulation to drive energy saving ● Consumption reporting in invoice, web and possibility for inhome displays (real time interface) Schneider Electric 2

Fortum AMM Program with Telvent 2008 2009 2010 2011 2012 2013 Phase 1 Phase 3 Phase 2 RFP out RFP production and preparations SP selection and Process & IT preparations Phase 4 ü ü Contract ü Pilot Rollout Start ü Main Rollout Start 2015 AMM Rollout and Process&IT implementations Long-term AMI Operation & Maintenance contract Main Rollout Closed Project Closed 3 2 1 2014 4 1 RFP out ü 2 4 3 ü Contract Pilot Rollout Start Main Rollout Closed • Telvent is the Service Provider for Fortum Finland (630 k meters) and Fortum Norway (100 k meters), complete outsourcing of AMI services for both rollout and operation phases • Deployments based on Telvent´s Titanium Smart Metering IT solution and Echelon´s NES system software and smart meters • Project Closed Eltel Networks in Finland One. Co in Norway as field installation partners Schneider Electric 3

Vattenfall Amrelva 3 with Telvent 2005 2006 2007 2008 2009 2010 Phase 1 1 ü Phase 3 Phase 2 RFP out RFP production and preparations SP selection and Process&IT preparations Phase 4 ü Contract ü Pilot Rollout Start Main Rollout Start ü Main Rollout Closed ü Project Closed 2011 2012 AMM Rollout and Process&IT implementations Long-term AMI Operation & Maintenance contract ü 3 2 4 • • Rollout completed in June 2008, now in Operations phase • Schneider Electric First outsourced AMI project in Europe (started in 2006) • • 2017 Eltel Networks and Vattenfall Service as field installation partners Telvent is the Service Provider for Vattenfall Amrelva 3 (620 k meters), complete outsourcing of AMI services for both rollout and operation phases Deployments based on Telvent´s Titanium Smart Metering IT solution and Echelon´s NES system software and smart meters 4

Managed Services Contract Service Provider responsibilities ● SP assumes the complete responsibility of executing the rollout, according to agreed timeplan ● SP has the responsibility to maintain the metering infrastructure and ensure the delivery of readings and remote operation services according to agreed SLAs Schneider Electric 5

What´s AMI Managed Services? Why this model ? • Unique project in utility life • Reduce risk • Reduce costs • Increase functionality and features Utility Meter Vendors Field Services Service Provider WAN provider Hosting Logistics VPN Tunnel GPRS Schneider Electric Internet 6

Fortum´s choice for AMM Finland as Service Provider NES System Sw CIS Integration layer Titanium AMI Management WFM DMS OMS EDM Work order management system Schneider Electric CIS = Customer Information System WFM = Workflow Management EDM = Energy Data Management 7

Rollout Services – Keys for Success • Purchasing and logistic, from factory to customers´ homes • Installation planning and actual meter change according to time plan • Well prepared installation instructions, process automation is a must to handle meter change work orders • Customer communications should not be neglected to get a smooth rollout at full speed • Monitoring of the meter communication to ensure each installation area achieves high performance level • Fast verification and identification of non-working devices to trigger clean-up activities Utility should leverage field visits for data quality improvements Schneider Electric 8

Rollout at Full Speed Schneider Electric 9

Operation Services based on SLA • Hourly meter reading services for both residential and industrial sites • Monthly meter reading service • Scheduled meter readings for customer move in/out and change of supplier • On-demand meter status via web interface to allow on-the-fly checks • Power quality services: voltage sag and surge, overcurrent, reverse energy, …. • Services to deliver alarms/events to DMS: phase loss, phase rotation, restoration checks, meter ping, … • HAN services: IHDs, load control, messaging to customer, … Keys to manage those services • • • Schneider Electric Field services, when required, to reach the agreed SLA High performance metering technology Operational routines and procedures to be setup and run by the Service Provider 10

Service Roadmap with a Release Plan • Setting up the smart metering platform • Basic services to ensure meter rollout and basic meter reading services (monthly and scheduled readings, tariff changes, …) 2009 2011 2012 2013 2014 Rollout Release • Implementing services for outage management and power quality • Software fuse service • Remote connect and disconnect service • Hourly values service for sites > 63 A Schneider Electric 2010 Operations Release Hourly Measurement Release • Daily delivery of hourly meter readings for residential customers • New services to process and report alarms and events • AMI integration with Distribution Management System Remote Operations Release Regulatory deadline 2008 • Home Area Network services based on C-Band Zig. Bee technologies • In-Home Displays • Demand response programs • Dynamic load control 11

The Smart Metering Platform Titanium Asset Management Remote Operations Services Delivery • Customer site information • Devices linked to sites • Devices inventory • Low voltage topology Schneider Electric Rollout Support • Work order deployment lifecycle • Performance level • Installation status SLA reports • Remote operation of customer connectivity • Devices reconfiguration • Firmware upgrade • Daily and hourly readings • Outages and power quality • Events analysis • HAN services management • SLA follow up 12

The Integration Architecture Work Order Management System MDM Customer Care (CIS) DMS GIS Titanium Integration Bus Metering services Services provided to customer, normally customized Titanium Baseline Standard core functionality to perform basic asynchronous operations and the head-end management Schneider Electric 13

Our Offering in Smart Metering • Rollout project management and system support • AMI managed services for both rollout and operation phases • Complete outsourcing for smart metering system operation and maintenance, proven compliance with demanding SLAs • Taking the responsibility to collect and deliver meter values with agreed SLAs – Meter reading services • Maintenance and support of the infrastructure – Field operation services • AMM remote operation services • Extended services (Home Area Network, multiutility, …) Providing our system integration expertise to leverage Smart Metering as a key component of the Smart Grid Schneider Electric 14

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